A.V.P.Sanstha’s
ADARSH COLLEGE OF ARTS & COMMERCE,
KULGAON-BADLAPUR
C.D. DESHMUKH MEMORIAL STATE LEVEL SEMINAR
ON
GLOBAL FINANCIAL CRISIS – IMPLICATIONS FOR INDIA
16TH & 17TH JANUARY-2009
Present financial crisis is considered as exceptional event that takes
place once in 100 years

Adarsh
College of Arts and Commerce of Adarsh Vidya Prasarak Sanstha,
Kulgaon-Badlapur organized a State Level Seminar in the memory of C.D.Deshmukh on Global Financial Crisis: Implications for Indiaon 16th and 17th January
2009. The idea of having such a seminar was indeed innovative because in
the triplet of Liberalization, Privatization and Globalization, no country
can remain isolated. It is therefore very essential to have a well learned
gathering of academicians, policy makers, thinkers who could discuss and
deliberate the possible implications of such a world-wide spread
phenomenon. This provided ample scope for intellectual interaction.

The
seminar was inaugurated at the hands of Dr.Chandrahas Deshpande,
Executive Director, MEDC and Mr. Sunil Bhandare, Chief Economist,
Tata Group. In his key-note address Dr. Chandrahas Deshpande advocated the contemporary relevance of the topic and focused upon the
global dimension of the crisis and the fact that the global dynamics are
changing very fast. The years 2008-2010 are going to be unprecedented,
turbulent and pervasive so that even if countries differ in terms of the
intensities of the crisis, they cannot be isolated and remain aloof. He
claimed that if global growth is unequal as it is right now, then the
global recessions would be more frequent. He analyzed Euro countries, USA and Japan as
the growth engines of the world economy in terms of recession and thereby
emphasized the need for a positive role of fiscal policy in co-operation
with monetary policy. He concluded his address by appealing the policy
makers to inject fresh dozes of reforms into the economy.

Mr.Sunil
Bhandare supported the views expressed by Dr. Deshpande in terms of strong
fiscal stimulus for the economy with an example of coupon system adopted
in China in place
of tax cuts and exemptions. He emphasized that the growth of our economy
is driven by domestic savings and demand so the degree of exposure to the
global finance was relatively limited. He concluded his session by the
examples that the recession in its traditional sense is not put on but a
multi-dimensional slowdown is definitely witnessed presently and the
policy responses by our policy makers are quite satisfactory.

The
post lunch session of the day one was concluded with five paper
presentations by the delegates under the chairmanship of an eminent
professor from Acharya Marathe College Chembur, Mr. S.S.Panikar.

The second day began with the paper presentations again not
only by the professors but also by the student delegates from the H.R and C.H.M College under
the chairmanship of an eminent professor Y.B.Bhide, Associate Director, ChennaiBusinessSchool.
All these papers exhibited positive and optimistic view towards the
current crisis.

The
next session was addressed by Mr. Rajesh Mokashi, Executive Director,
CARE. He offered his views on Credibility of financial institutions
in India. He emphasized
an important point that for this crisis only US can’t be blamed because it
is well known and well accepted that “Returns are higher when the risks
are higher” and certain behavioral changes result into a recession
what is generally known as Herd Mentality. He dealt with CAMEL approach
which mainly is used to rate the financial institutions. He very strongly
assured the audience that 90% banks in India presently are credible and that is a very positive
thing for a common man today.

The next session was presented by Dr. Vaidehi Daptardar,
Principal, AdarshCollege of Arts
and Commerce Badlapur on behalf of Ms. Piya Mahetaney on Comparision of India and China in light of current
financial crisis. She talked about inclusive globalization and major
developmental issues of both these countries. She coined a new concept of
tackle down effect instead of the known trickledown effect. This session
was concluded by asserting a need for an ideal model of development by
combined growth of India and China.

The
concluding session was the presented by Dr. Rupa Rege-Nitsure, Chief
Economist, Bank of Baroda on one of the most relevant topic, “Indian Banking Industry and RBI’s
response to Liquidity Crunch”. According to her the integration of our
economy with the world economy has led to high degree of interrelation
between monetary, financial and real sectors of the economy. She opined
that the FDIs can be attracted even if there is worldwide recession
because there is no other attractive investment opportunity available elsewhere. She
elaborated the policy of RBI along with the expected challenges and
asserted that it is the tough time no doubt but not that dismal and
gloomy.

The seminar thus ended on this positive note along with the valedictory
session with an overwhelming response of more than eighty delegates.